Disappointing rate cut.

The vote is seven of the 12 Fed district banks requested the quarter-point discount-rate cut, suggesting some asked for a bigger move.
The Federal Open Market Committee lowered the benchmark rate by a quarter-point yesterday to 4.25 percent, and said cumulative cuts of 1 percentage point this year should promote ``moderate growth.'' Policy makers also dropped their assessment that growth and inflation risks were ``roughly'' equal and cited ``uncertainty'' about the outlook.
We have a group of reluctant committee, they didn't want to ease.Policy makers weren't united on yesterday's decision.
``Strains in financial markets have increased in recent weeks,'' policy makers recognized yesterday. That contributed to the ``uncertainty surrounding the outlook for economic growth and inflation,'' the Fed said.
Officials noted that ``elevated energy and commodity prices'' may cause faster inflation.
Investors were at odds with the central bank's decision and instanteously translate wall street into a highest free fall ever since Ben S. Bernanke, 53, became chairman in February 2006.
The TV commentators were disappointed.
Economists were disappointed.
Money managers were disappointed.
Even money markets were disappointed with the cut.
And yours truly was disappointed at the wave of disappointment.
The only people who weren't disappointed but were surprised nonetheless were bond investors, who sent Treasuries soaring.
Meantime,my suggestion to those top brass out there is not to mention and keep on harping the word "RECESSION",it's too psychological and emotionally painfull thing to hear.



Tracking the Dow on Tuesday 11/12/07.

The overnight paparazzi pursuing Helicopter Ben were holding steadily in their focus position until at around 2;15pmET when Ben fired his first salvo.It's kamikaze(-http://en.wikipedia.org/wiki/Kamikaze)the Battle of Midway.
Towards the final 15 minutes before the closing bell,it's a hell with many hangman and graveyard dojis and the battle is now over.A new season has begun." Banzai "

The President and the Fed's Chairman had their meeting line for the last 3days(6/12 - 10/12).
Finally,the analysts and future traders are conducting their aftermath of rate cut meeting postmortem.Looks like they are all pretty satisfied in the meantime. They'll be bouncing with joy!